Party defends Kim Yong-beom's 'real estate tax normalization' message

Tells PPP its 'political engineering' over dismissal demand will face judgment

Seoul's residential neighborhoods are reflected in a pair of glasses, seen from N Seoul Tower on Namsan on Monday, June 16.
Seoul's residential neighborhoods are reflected in a pair of glasses, seen from N Seoul Tower on Namsan on Monday, June 16.

The Democratic Party of Korea on Sunday pushed back against the People Power Party's attacks over Cheong Wa Dae policy chief Kim Yong-beom's remarks on the need to adjust real estate holding and transfer taxes, asking whether the PPP intended to "squander even this opportunity for economic advancement on political squabbling."

Democratic Party spokesperson Park Ji-hye made the statement in a written briefing that day, saying the PPP had responded to Kim's message with "nothing but distortion and criticism."

Park described Kim's message as "a proposal to squarely face the changes ahead — grounded in the achievements and growth indicators our companies have built — and respond to them proactively." She added that "adjusting the tax system is part of responsible governance aimed at curbing reckless real estate speculation, and it is the government's duty to work toward market stabilization by rationally adjusting holding and transfer taxes."

Park also raised concerns about liquidity management. "If the liquidity flowing in from trade surpluses and performance bonuses pours into the real estate market and stokes overheating, the pain will fall squarely on working people without homes and on young people," she said. She added that "the opposition's political engineering — meeting with criticism a proposal to channel the national wealth earned by advanced industries into reviving domestic demand — will not escape judgment."

Park went on to say that "now is not the time to divide public opinion with baseless attacks, but the time for the ruling and opposition parties to put their heads together and think through policy alternatives," adding that "the Democratic Party will focus on working together with the government to find ways to restore people's livelihoods."

Earlier, Kim had written on Facebook on Saturday that the South Korean economy was in an "unprecedented boom," calling for the capacity to follow through on normalizing real estate taxation and channeling corporate profits and fiscal resources toward vulnerable groups and future industries.

In response, the PPP demanded Kim's immediate dismissal, saying his remarks revealed his "true colors as a tax raiser — showing that now the election is over, he wants to raise taxes again."


hwshin@heraldcorp.com